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Floodlight or Spotlight? Public Attention and the Selective Disclosure of Environmental Information

Author

Listed:
  • Shawn Pope
  • Jonathan Peillex
  • Imane El Ouadghiri
  • Mathieu Gomes

    (CleRMa - Clermont Recherche Management - ESC Clermont-Ferrand - École Supérieure de Commerce (ESC) - Clermont-Ferrand - UCA [2017-2020] - Université Clermont Auvergne [2017-2020])

Abstract

To meet growing demands for information on their environmental impacts, firms may engage in selective disclosure by strategically reporting only a subset of relevant data. In this article, we draw out and problematize an antecedent to selective disclosure, public attention . Prior studies suggest that public attention brings scrutiny that reduces selective disclosure by increasing the risk of getting caught ( the floodlight thesis ). The impression management literature, however, suggests that public attention offers the possibility of broad‐based image benefits from the disclosure of strategically filtered data ( the spotlight thesis ). Panel regressions with Trucost data from 2008–19 provide overall support for the spotlight thesis as well as a negative moderator, environmental damage. Results also point to an underlying mechanism: Companies receiving public attention disclose a larger number of environmental metrics, but not ones that, altogether, represent more environmental damage, a tactic that we call strategic fluffing .

Suggested Citation

  • Shawn Pope & Jonathan Peillex & Imane El Ouadghiri & Mathieu Gomes, 2023. "Floodlight or Spotlight? Public Attention and the Selective Disclosure of Environmental Information," Post-Print hal-04368061, HAL.
    • Handle: RePEc:hal:journl:hal-04368061
    DOI: 10.1111/joms.12920
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    Cited by:

    1. Mathieu Gomes & Sylvain Marsat & Jonathan Peillex & Guillaume Pijourlet, 2023. "Does religiosity influence corporate greenwashing behavior?," Papers 2312.14515, arXiv.org.
    2. Lu, Zhenye & Lin, Yongjia & Li, You, 2023. "Does corporate engagement in digital transformation influence greenwashing? Evidence from China," Finance Research Letters, Elsevier, vol. 58(PD).
    3. Yiqiang Zhou & Lianghua Chen & Yan Zhang & Wan Li, 2024. "“Environmental disclosure greenwashing” and corporate value: The premium effect and premium devalue of environmental information," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(3), pages 2424-2438, May.

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